Lesotho: Political party funding

Updated May 2006

Public funding

There are no laws requiring or governing public funding of political parties (Olaleye 2003, 14). Since 1993 public funding has been made available to political parties during elections for campaigning purposes (Lodge et al 2002, 108). Initially the allocation was undertaken by the government and distributed through the IEC, but the lack of transparency in the determining of the allocation of funds resulted in a shift towards the determination of the allocation formula by the political parties themselves, by the 2002 elections (Lodge et al 2002, 108; Olaleye 2003, 14). Accordingly, in 2002 half the funds were allocated to registered parties and shared equally amongst them, while the other half was distributed to each party in proportion to the number of candidates fielded (Olaleye 2003, 14).

According to Khabele Matlosa and Caleb Sello (2005, 46), following the 2002 elections parties were required to account for the use of these funds. However, Wole Olaleye (2003, 15) reports: "parties did not use the money for the stipulated purpose and there is no regulation within the law to prosecute misuse of funds allocation". Lodge et al (2002, 108) observe that the utilisation of funds is not audited by the Auditor-General, nor is it subject to the review of the parliamentary Public Accounts Committee.

Private funding

Parties are permitted to receive funds from outside Lesotho for the conducting of election campaigns from any organisation or person; the only requirements are that funds over M20 000 be disclosed to the IEC and that the funds be paid into the party's declared campaign transaction bank account (National Assembly Election Order 1992, 47N; see "Registration qualifications and conditions" in Party registration). There is nothing in the law requiring the IEC to disclose the information on donations reported to it.

Here the regulation of party funding by the state begins and ends. Party membership subscription dues and fundraising activities are wholly inadequate to finance the operational costs of the parties, while is public funding is inadequate to cover the campaign costs of parties (Matlosa & Sello 2005, 47; Kabemba 2003, 44). Parties that have no access to state resources, as is the case with whatever party is incumbent, or cannot raise funds from foreign firms seeking economic advantages, as is the case with the large parties and especially the ruling party, are severely disadvantaged (Matlosa & Sello 2005, 47; Kabemba 2003, 44; Olaleye 2003, 15).

References

KABEMBA, C (ed) 2004 From Military Rule to Multiparty Democracy: Political Reforms and Challenges in Lesotho [PDF document], EISA No 2, 21.

LODGE, T, KADIMA, D & POTTIE, D (eds) 2002, Compendium of Elections in Southern Africa, EISA.

MATLOSA, K & SELLO, C 2005, Political Parties and Democratisation in Lesotho [PDF document], EISA Research Report No 23.

NATIONAL ASSEMBLY ELECTION ORDER 1992, Military Council and Council of Ministers of Lesotho.

OLALEYE, W 2003, Democratic Consolidation and Political Parties in Lesotho [PDF document], EISA Occasional Paper No 15, December, 13-15.